Web ad bargain?
12 July 2018
Tim Peterson, on Digiday:
If an exchange or SSP declines to sign the agreement, it is limited to only selling non-personalized ads through DBM. Those generic ads generate less revenue for publishers than personalized ads that are targeted to specific audiences based on data collected about them. Some publishers that are heavily reliant on DBM have seen their revenues decline by 70-80 percent since GDPR took effect because they were limited to non-personalized ads, said another ad tech exec. That revenue drop has put pressure on exchanges and SSPs to sign Google’s consent agreement lest their publishers move their inventory to other platforms that can run DBM’s personalized ads on their sites, the second exec said.
A lot of those "specific audiences" are, of course, adfraud bots. Fraud hackers are better at adtech than adtech firms are. So ads shown to bots, on shitty sites, are going for more than ads seen by humans on legit sites.
Meanwhile, tracking-resistant, personalization-averse readers are overrepresented in some customer categories. Web developers are a good example. (40% protected based on recent data from one popular site.)
Of course, today's web ad system is based on tracking the best possible prospect to the cheapest possible site, so it won't be easy to take advantage of this nice piece of market inefficiency. First step is figuring out how well protected the people you want to reach are.